We’d like to remind Forumites to please avoid political debate on the Forum.

This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.

Debate House Prices


In order to help keep the Forum a useful, safe and friendly place for our users, discussions around non MoneySaving matters are no longer permitted. This includes wider debates about general house prices, the economy and politics. As a result, we have taken the decision to keep this board permanently closed, but it remains viewable for users who may find some useful information in it. Thank you for your understanding.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
The Forum now has a brand new text editor, adding a bunch of handy features to use when creating posts. Read more in our how-to guide

European mortgage Directive

There is an article in the Telegraph today which seems to think the European Mortgage Directive will be extended to Buy To Let mortgages.

Basically what they seem to think is that rental value will no longer be able to be considered when taking out a BTL mortgage.

Anyone think this will have an effect on the housing market in the future??

Comments

  • MrRee_2
    MrRee_2 Posts: 2,393 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker
    Why on earth would the rental NOT be taken into account?

    That's bunkum ....
    Bringing Happiness where there is Gloom!
  • abaxas
    abaxas Posts: 4,141 Forumite
    They would just change their underwriting rules and adjust deposit/rate accordingly.
  • Thrugelmir
    Thrugelmir Posts: 89,546 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    andybenw wrote: »
    Basically what they seem to think is that rental value will no longer be able to be considered when taking out a BTL mortgage.

    What's the proposed alternative?
  • MrRee_2
    MrRee_2 Posts: 2,393 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker
    Facts are these:-

    1. BTL purchasers are holding up the market.
    2. BTL gives those with money a decent rate of return.
    3. BTL gives the possibility of great capital gains.
    4. BTL Mortgages are a safe bet.
    5. BTL Mortgages generate profits for all (except the renter).

    They aren't about to be stopped anytime soon .... only market conditions could do that.
    Bringing Happiness where there is Gloom!
This discussion has been closed.
Meet your Ambassadors

🚀 Getting Started

Hi new member!

Our Getting Started Guide will help you get the most out of the Forum

Categories

  • All Categories
  • 354.3K Banking & Borrowing
  • 254.4K Reduce Debt & Boost Income
  • 455.4K Spending & Discounts
  • 247.2K Work, Benefits & Business
  • 603.9K Mortgages, Homes & Bills
  • 178.4K Life & Family
  • 261.4K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 16.1K Discuss & Feedback
  • 37.7K Read-Only Boards

Is this how you want to be seen?

We see you are using a default avatar. It takes only a few seconds to pick a picture.